A major part of Freud work based on dreaming.To be frank, you may call his study of psychology as a study of dream.Interpretation of dream is the main issue in Sigmund Freud's Psychological journey.Though, modern psychology does not approve much of his psychological analysis which are based on interpretation of dreams, everybody accepts him as the pioneer of modern psychology.He argued that most of the dreams results from unfullfilled or missed sexual urge, which is proved as wrong by modern psychology.
As for your first part, i.e. reflecting life, please search it on google.I am not aware about that.
good luck.